Substations and Feasibility
-- Consulting-Specifying Engineer, 11/1/2000
The economic feasibility of converting a substation from distribution to transmission service can be determined from the following relationship:
NAS = SAV + DEREG - CONV - OM, where:
NAS = Net annual savings.
SAV = Annual savings due to switching from the distribution tariff to the transmission tariff.
DEREG = Estimated annual savings due to buying power in a deregulated environment.
CONV = Annual carrying charges for converting to transmission service.
OM = Annual operations and maintenance cost of the transmission substation.
